FAQs on How to Bet On Sports
How do negative betting odds work?
A negative betting odds means that a bettor is wagering on the team they think will lose instead of the team they want to win. These bets are known as longshots because of the slim chance of victory and often come with a higher payout than traditional bets.
Negative betting odds work very simply. For example, if a team has a negative betting odds of -200, that means the bettor needs to put up $200 for every dollar they wish to win on the bet. A team with positive betting odds of +160 indicates that the bettor can win $160 for every dollar wagered (plus the original amount wagered).
The payout for negative betting odds is usually higher because the house takes a more significant risk on a bet with poor odds. For example, let us say the Chicago Bulls have an -150 negative betting odds (-1.5) against the Milwaukee Bucks. A bettor wanting to wager on Chicago for -1.5 would wager $150 and, if he wins, take home $200 total (minus fees). If a bettor wanted to wager on the Bucks, he could give $100 to win $160.
How are betting odds calculated?
Sports betting odds are calculated by considering various factors related to the outcome, such as home-field advantage and margin of victory (how significant a lead the favorite has). Before the game begins, oddsmakers will work hard to create a betting line.
To generate betting odds on an upcoming event or game, oddsmakers use complex formulas, mathematical models, and computer algorithms. They also come up with probability and power rating statistics based on the strength of the schedule.
Oddsmakers also consider win totals and futures odds when determining the odds. Win totals are set for every game and are present to bet on all off-season. The future odds keep changing throughout the seas depending on the team's performance.
Oddsmakers also seek help from trusted consultants who provide detailed input on what they think the odds should be. Third-party consulting firms incorporate algorithms and data analytic methods into their odds generation. They also balance data analytics, including injuries, before they release the odds.
After taking all these into account, bookmakers come up with a rough estimate of what the odds should be. Sportsbooks use advanced algorithms to calculate how much cash to be placed in a specific market. They also have a database of past cash projections to help them figure out the number better. Cash projections are part of the odds calculation as they help market the games well. It also allows bookmakers from the risk of losing money to their customers.
Odds don't leave the printing press before getting adjusted. They must be passed through a margin. Best bookmakers offer a margin of about three to five percent.
Once the odds are generated, they are released to players as an opening line. Gamblers can pick which side they want to bet on.
The limits are set low initially, allowing bettors to wager on small amounts. Oddsmakers use this as a feeling-out stage, helping them to shape the line and make it accurate as possible. Once they feel comfortable with the odds, they raise the limits. Finally, the market takes over.
How do sports betting odds work?
Imagine you have just placed a bet on the Tampa Bay Lightning to defeat the Columbus Blue Jackets in an upcoming ice hockey game. Odds are, you care about which team is more likely to win. To determine this, bookmakers make a market where they post what they believe will happen.
Now it is time to pay your sports bet. What are the odds of Tampa Bay winning? The answer is: the bookmaker thinks that the Lightning has about a 60% chance of winning (i.e., 60% chance of their team winning, 30% chance of another team winning, and 10% chance of no one winning). But what does this say about your bet? If you bet on Tampa Bay to win, you think that that team has about a 60% chance of actually winning. So what exactly is the incentive for a bookmaker to give you odds?
It is simple: you are willing to pay a premium to place your bet (the "spread") if you think that their odds are different than their true odds. In other words, if the bookmaker were pricing their bets with 60% odds, then they won't charge you any more than this. This incentivizes the bookmaker to price their bets with better odds.
How to read betting odds fractions
As the name suggests, fractional odds are written in the form of fractions. They can be read as how much you win/how much you bet. For instance, if a sportsbook offers odds 3/2 and your stake is 100, your winning is 100x3/2=150.
If the number at the top is more significant than the one at the bottom, the market is an underdog. If the numerator is smaller than the denominator, the side is more likely to win.
To decipher fractional odds, let's look at the tennis match between Rafael Nadal and Novak Djokovic.
Nada-4/6
Djokovic 6/5
Using the example above, if you were to bet $100 on Djokovic, you would win $120. Add your stake, and you will get a total payout of $220.
How to read a spread in sports betting
A point spread is one of the appealing markets because of its simplicity. On the spread, the team with a negative line is the favorite. The other with a positive line is an underdog. For instance, a +7 spread means that the underdog must either win the game or lose by less than seven points. On the other hand, the favorite must win by more than seven points.
How does plus and minus work in betting
American odds come with two key symbols: The plus (+) sign and the minus (-) sign. These signs are normally placed in front of odds or lines, showing the favorite and underdog. The favorites are marked with a minus sign, while the plus sign indicates the underdogs.
This happens in all types of bets, including point spread and Moneylines. For instance, if you are scrolling through a sportsbook and see a bet with a +100 next to it, this means you will wager with the underdog. So, if you bet $100 on odds +100, you will win $100. When your bet is settled, your wallet receives a total of $200 ($100 back from the initial bet plus the additional $100 profit).
The same goes for Moneyline. A +200 means you are betting an underdog. For the favorite, you will see the negative sign. For instance, if you see odd -130, you must bet $130 to win $100.
How the plus and minus sign work on the point spread is slightly different. The minus on point spread means the team must win by more than that number. On the other hand, the positive sign means the team must lose by not less than that number.
What is the plus minus in betting?
Plus or minus in betting are odds expressed in terms of money. For instance, if the odds are, say, -100, then you must wager $100 to win $100.
The standard number is plus or minus 110, meaning you should wager $110 and earn $100 profit. This is called Vigorish or juice for the bookmaker. Assuming equal bets for both sides, the bookmaker has a 10% cut of the action. The Vigorish is a way of discouraging gamblers from wagering on a heavy favorite. For instance, if team A is marked -500 to win an event, a successful $500 would only bring $100.
On the flip side, plus-minus betting can also encourage players to wager on a long shot. For instance, if team A is marked +500 to win an event, a successful $100 bet can win $500.
